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Product related segmentation:
Product use situations: one of the important bases is the product use situations. Different customers may use the same product in different use situations. Rasna, for example, is shown as being used in different situations like a party, the unexpected guests, a drink at the end of a long and tiring working day, etc.
Benefits segmentation: here, the marketer identifies benefits that a customer looks for when buying a product. This has been a very effective method of segmenting the market for watches, where a customer may buy for just knowing the time, or durability, or as a gift an accessory a dress item a jewellery item.
Quantity consumed: the quality consumed at any given time has also been the basis for segmenting the beverages (tea, coffee) soft drinks, breweries and cigarette markets. Accordingly, the following market segments are visible:
1. Heavy users
2. Moderate users
3. Light users
The differentiation between them is based on the benchmark quantity defined by the marketer for the each segment.
Cost Based Pricing : Under the cost based pricing, different methods used are :- Mark Up Pricing Absorption Cost Pricing Target Rate of Return Pricing Margin
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